Taking Security, 3rd Edition

Taking Security explains how security – the creation and enforcement of proprietary rights to secure the payment of a monetary liability – is taken under English law. It offers a detailed explanation of types of security, creation, priority and enforcement. The book is mainly concerned with property and insolvency law, two areas where security is tested and enforced. Authoritative in approach, this highly respected book provides guidance on both the legal principles and practical issues involved in taking and challenging security.

The book is accordingly broken down into the following parts:

• Part A: Types of Security (Chapters 2–4): what types of security are available to a creditor, what are the differences between pledges, mortgages and fixed and floating charges, and what are their advantages and disadvantages?
• Part B: Creating Security (Chapters 5 and 6): how is security created in practice and what requirements are there to register the security?
• Part C: Priority of Security (Chapter 7): what are the priorities between the creditor and another person who obtains an interest in the secured asset?
• Part D: Enforcing Security (Chapters 8 and 9): how is security enforced, what liabilities can be incurred as a result of enforcing security, and how can the onset of insolvency proceedings against the debtor affect the enforcement of security?
• Part E: Security Arising by Operation of Law (Chapter 10): in what circumstances is security created without the necessity for an agreement between the debtor and the creditor?
• Part F: Alternatives to Security (Chapters 11 and 12): to what extent can a creditor protect himself against the insolvency of the debtor in other ways, for instance, by taking a guarantee from a third party or by relying on a right of set-off?
• Part G: International Security (Chapters 13 and 14): what issues arise where the transaction is of a cross-border nature?

The new edition includes changes arising from to the rules concerning the registration of charges created by companies and LLPs introduced in April 2013 which has necessitated the substantial re-writing of the chapter on registration and also a number of consequential changes to other chapters, particularly in relation to priorities.  Chapter 6 also contains a discussion of the conceptual distinction between secured and outright transactions as an introduction to the discussion of quasi security while in Chapter 7, the discussion of purchase money security interests has been reordered.

This book is an essential reference for litigation lawyers when disputes arise, and for insolvency lawyers and accountants.